Tag Archives: unemployment

The False Jobs Recovery: Low Unemployment Rate Misses Key Points

The False Jobs Recovery: Low Unemployment Rate Misses Key Points
Note: As the corporate media talks about the need to begin to raise interest rates because unemployment is decreasing they fail to report the key point — the major reason unemployment is down is not because of sufficient new jobs but because more Americans have given up trying to work. Unemployment figures have been distorted over the years so this reality is hidden from the unemployment rate. The other important point not emphasized ... Read more

Full Employment and the Path to Shared Prosperity

Full Employment and the Path to Shared Prosperity
There are many policies that can reduce inequality, but there is none as straightforward conceptually and as difficult politically as full employment. The basic point is simple: at low rates of unemployment, the demand for labor allows workers at the middle and bottom of the wage distribution to achieve gains in hourly wages, annual hours of work, and thus income. Levels of unemployment are not the gift or curse of the gods; they are the ... Read more

It’s Still Bad for the Long-Term Unemployed

It’s Still Bad for the Long-Term Unemployed
At first blush, it’s great news. The number of long-term unemployed Americans – meaning those out of a job for more than six months – has dropped to 3.7 million in March from a high of 6.8 million in April 2010. The ranks of the long-term jobless have plummeted by 837,000 over the past year alone, helping to drive down the unemployment rate. But not so fast. The labor market has largely normalized in terms of short-term unemployment. But it ... Read more

Diary of a young co-op startup: the importance of collaboration

Diary of a young co-op startup: the importance of collaboration
I have had moments where I would give anything to have a "normal job", with someone to tell me what to do, when to do it and to praise me for it. I have found myself valuing what I did in my paid work higher than the time I spent on AltGen, because the rest of society valued that more, too. There seems to be an inherent value in work, but not on the impact that work has on society. Can you relate to the experience of a friend posting on ... Read more

THE SUBPRIME EDUCATION CRISIS

THE SUBPRIME EDUCATION CRISIS
Oh dear. We appear to have what might be termed sub-prime student loans on which there are rising defaults. In fact it is possibly worse than sub-prime mortgages, because unlike mortgages, delinquent student loans cannot be written off in return for asset seizure. The borrower is stuck with the debt – possibly for life – while the lender, i.e. the US government, receives nothing. Really it is the worst of all possible worlds. Read more

Short-term Thinking, Profits on Wall Street; Pain on Main Street

Short-term Thinking, Profits on Wall Street; Pain on Main Street
What’s bad for Main Street and good for Wall Street in the short term is bad for both in the long term. The American economy is at a crawl. Median household incomes are dropping. The American middle class doesn’t have the purchasing power to keep the economy going. And as companies focus ever more on short-term share prices at the expense of long-term growth, we’re in for years of sluggish performance. When, if ever, will Wall Street learn? Read more

Who’s Really To Blame for Unemployment?

Who’s Really To Blame for Unemployment?
Guided by the mythology of the “American dream”—the idea that, given the opportunity, the deserving will excel and rise above their peers—politicians often attribute unemployment to a mystical “skills gap.” If people can’t find a job, the logic goes, they clearly weren’t fit to be hired. As a consequence, many legislators tout specialized training programs or education reforms as possible solutions to America’s seemingly intractable jobs ... Read more

ICELAND LETS BANKS FAIL; 2% UNEMPLOYMENT IN SIGHT

ICELAND LETS BANKS FAIL; 2% UNEMPLOYMENT IN SIGHT
Unlike other countries who haven’t seemed to learn the lessons that the financial crisis forced upon them, Iceland’s position was “never again.” Frankly, Icelanders knew they couldn’t afford to let banks play dice with their entire country’s economy. Repeated over and over in the streets and in Iceland’s parliamentary house came the words “Let banks fail.” In 2008, while America was hastily putting together a bailout package for its largest ... Read more

Capitalism in Long Term Stagnation and Decay

Capitalism in Long Term Stagnation and Decay
Well, there's lots of reasons why the economy is in trouble. I mean, the most obvious one is that when you concentrate all the income at the top, people don't buy. They can't buy enough. They can invest it or they can put it under the mattress or they can put it in stock speculation, but they've got a house, they've got two houses, three cars--they can't purchase enough. The Keynesian idea is to stimulate the economy. So that's the same--you ... Read more

Obama’s Address Fails to Look at Roots of Income Inequality

Obama’s Address Fails to Look at Roots of Income Inequality
It's important that we restore the minimum wage. We're not talking about raising it. We're talking about restoring it. Back in the mid '60s, it was almost $11 an hour. And education is certainly very important and too much neglected in this country. We put huge barriers to bright but poor and middle-class children getting first-rate educations, especially at college. But we have much more fundamental problems than that. Many of these ... Read more